CiCM 26th December, 2024

NEWS IN CHINA

World Bank Revises Up China’s GDP Growth highlighting Need for Reforms: The World Bank has raised China's GDP growth forecasts to 4.9% for 2024 and 4.5% for 2025, reflecting policy easing and near-term export resilience. The projections are increased by 0.1 and 0.4 percentage points, respectively from June estimates. However, the WB emphasized that structural reforms must accompany stimulus efforts to ensure sustainable growth. Although policy measures provide substantial support, challenges such as weak household and business confidence, property sector headwinds, and high debt levels among developers and local governments persist. Further, long-term issues, including low consumption and an aging population, limit the effectiveness of traditional growth stimulus. Mara Warwick, the World Bank's country director for China, Mongolia, and South Korea, stressed the importance of addressing property sector challenges, strengthening social safety nets, and improving local government finances. She emphasised that clear policy communication will be key to rebuilding market and household confidence that would be able to support a sustained recovery.
Progress in China-India Border Talks Signals Improved Relations: China and India have made significant progress in resolving border issues, as historically noted during a recent meeting between their Special Representatives, which resulted in a six-point consensus. Zhang Xiaogang, spokesperson for China’s Ministry of National Defense, reiterated that diplomatic and military negotiations have provided smooth and effective results, and both armies have adhered to the agreed solutions. Zhang emphasized that restoring stable China-India relations aligns with the fundamental interests of both nations and their peoples. He highlighted the importance of continued communication and collaboration, portraying peaceful and sustainable border management as a shared goal. The Chinese army also expressed its commitment to bettering mutual exchanges and promoting improved relations between the two militaries. This collaborative approach showcases efforts by both countries to maintain peace along the border, signalling a move toward stronger bilateral ties, and a long-term goal of regional stability.
China Advances in Transportation Infrastructure Development, Implementing the Shanghai-Suzhou-Lake High-speed Railway: As highlighted by General Secretary Xi Jinping, China's transportation infrastructure has grown dramatically this year. The Shanghai-Suzhou-Lake high-speed railway, now operational, connects eight stations along a 164-kilometre route, reducing travel time from Shanghai to Huzhou to just 55 minutes. With the implementation of this railway, the country’s total railway mileage now exceeds 160,000 kilometers, while the comprehensive transportation network spans 6 million kilometers. The development of high-speed railways continues, with 96% of cities with populations over 500,000 now connected. Annual transportation investment has reached an estimated 3.8 trillion yuan, with over 3,000 kilometers of new railway lines being put into operation. Rural roads are also expanding, with 160,000 kilometers renovated this year, enabling rural growth as well. Major projects like the Shenzhen-China Channel and the Changtai Yangtze River Bridge are also being implemented, improving connectivity nationwide. Globally, China also leads in passenger air travel, reflecting an efficient and well-connected transportation system.
China's Ganfeng Lithium Achieves Milestone in Mali Mine Project: Ganfeng Lithium, China’s largest lithium producer, has launched the first phase of its Goulamina lithium mine in Mali, overcoming security challenges and a strict mining code. Located in Bougouni, the mine is one of the world’s largest lithium deposits, with an estimated 23-year lifespan and the potential to produce 15.6 million tonnes of spodumene concentrate. The processing plant, operational since mid-December, is set to produce 506,000 tonnes annually in its first phase, with capacity expected to double in the second. Mali’s transitional President Assimi Goita praised the project as a cornerstone of Sino-Malian “strategic and sincere” cooperation, emphasizing its importance for national resource exploitation. Chinese ambassador Chen Zhihong hailed the mine as a model of “win-win cooperation,” reinforcing China's commitment to critical mineral development in Africa amid growing global demand for electric vehicle and electronics batteries.
Beijing’s Anti-Corruption Drive Targets Top Military Officials: Beijing's anti-corruption campaign has resulted in the dismissal of two senior military officials, Lieutenant General You Haitao and Vice-Admiral Li Pengcheng, from their roles in China's National People's Congress (NPC). Both are accused of "serious violation of laws and discipline," a term often associated with corruption charges. This marks another chapter in Xi Jinping's sweeping effort to reform the People’s Liberation Army (PLA) by targeting high-ranking officials. The crackdown has already implicated prominent figures like Miao Hua, a Central Military Commission member, and former defence ministers Li Shangfu and Wei Fenghe. The recent shake-up also saw Chen Hui, an air force officer, promoted to general and appointed as the army’s political commissar, replacing Qin Shutong. These personnel changes reflect an ongoing effort to strengthen discipline and ideological alignment within the PLA, highlighting Beijing’s commitment to rooting out corruption at all levels of its military establishment

SOCIAL MEDIA CHATTER

China’s Grandma Tang becomes a symbol of Selfless Love amongst Netizens: Tang Caiying, 88, a retired hospital cleaner from Jiangxi, China, has been nominated as a National Moral Model for adopting 38 abandoned infants during the 1980s and 1990s. Her first adoption took place in 1982 when she found a baby girl abandoned near railway tracks and brought her home, naming her Fangfang. Despite earning a modest income and raising five biological children, Tang continued rescuing infants, many left in dire conditions outside hospitals or in trash bins. Her dedication was initially met with resistance from her husband, but he eventually embraced her mission. Tang arranged for unused hospital rooms to care for the babies and also placed many children with adoptive families while continuing to support others. Today, Tang's adopted children, including firefighters and teachers, visit her regularly, crediting her for their lives. Her story has inspired innumerable social media users, with many calling her actions ‘touching’ and a means to ‘show us what true love means.’

INDIA WATCH

Chinese Firms Re-enter Indian Market Amid Strengthening Ties: Several Chinese companies, including Shein, Vivo, and Hisense, are re-entering or expanding in India, signalling improved bilateral economic ties. Shein's return is facilitated by Reliance Retail marking its comeback after the 2020 ban, while Vivo has partnered with Dixon Technologies to establish a manufacturing venture. Reportedly, Hisense plans to acquire a stake in an Indian electronics firm. In an article published by Global Times, Chinese media and experts, like Liu Xiaoxue of the Chinese Academy of Social Sciences, view this as a positive development in trade relations, highlighting India’s need for Chinese investment to grow its manufacturing sector. Liu underscored the vast potential for collaboration in technology, tourism, and services between the two countries, but India still imposes stringent conditions on Chinese firms, requiring local control and data oversight. The Global Times noted warming diplomatic relations following the 23rd meeting on the China-India boundary issue. Chinese Foreign Minister Wang Yi also acknowledged the need for mutual communication and progress in easing visa restrictions and resuming direct flights, essential for restoring cultural and economic exchanges. Although experts and media celebrate the progress, they also urge India to enable fair market access for Chinese enterprises to enable mutual benefits.

Prepared By

Taasha Mistry

Taasha Mistry is a third year undergraduate student at FLAME University, pursuing a major in International Studies with a minor in Advertising & Branding. After having completed an internship at International SOS, she has found her interests to lie in security and strategic studies. Intrigued by the ever changing dynamics in the modern day world, she keeps herself updated with daily news and events.